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Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?


To: koan who wrote (96266)4/8/2009 2:35:08 AM
From: benwood  Read Replies (1) | Respond to of 116555
 
"They may be planning to push the dollar down in tranches. Cuts everyone debt in real terms, but may be too fancy for some."

The dollar devaluing does nothing to cut debt for "everyone" in real terms.

The possible resulting inflationary environment could, in theory, except the lag factor actually means that discretionary income will drop, perhaps precipitously and perhaps permanently, and so debt service will actually become more, not less, difficult.

I wouldn't mind hearing you elaborate on what appears to be slight of hand, to me at least.